a. What is the effect on the stock price when a firm repurchases its shares under perfect capital markets? [2 marks]

b. Do you agree with the statement In Australia, the date on which a firm pays out dividends is called the ex-dividend date? Explain. [2 marks]

c. You have been provided the following data about 4 shares (this data was gathered from a sample over the period 2017-2021).

Security	Expected Return	Standard Deviation	Coefficient of Variation
A	13.0%	5.28%	0.41
B	9.80%	1.80%	0.18
C	6.20%	18.75%	3.02
D	1.30%	12.38%	9.52

i. Identify which security you would suggest investing funds in if you had to select only one? You need to justify your answer, explaining how you derived your decision. [2 marks]

ii. Provide a definition of the coefficient of variation and explain its use in this given context [2 marks]